PORTLAND, Maine, and CHERRY HILL, N.J., Feb. 6, 2013 /PRNewswire/ -- A new national survey from TD Bank, America's Most Convenient Bank ®, reveals that both middle-market and corporate CFOs are optimistic for macroeconomic and business growth at a level unseen since the height of the Great Recession. Nearly half (46%) of finance managers polled said they are more optimistic about U.S. economic growth over the next year compared to 2012. Further, 57% of respondents are more optimistic for their own companies' performance over the next year.
According to the survey, most middle-market and corporate financial decision-makers say their companies have accumulated at least a modest stockpile of cash and are optimistic for revenue increases in 2013. In tandem with expectations for increased cash flow and a positive business outlook, almost half (48%) of all executives polled expect their capital expenditures to increase over the next 12 months.
"Business executives have grown more willing to invest, albeit cautiously, over the last year and our survey results support this trend continuing through 2013," said Greg Braca, Head of Corporate & Specialty Banking at TD Bank. "Despite remaining policy and regulatory concerns at the macro level, CFOs seem poised to drive expansion and investment with capital accumulated since the downturn."Sales and Accumulated Cash Reserves Drive ReinvestmentThe increase in corporate cash reserves has been much discussed over the last few years and TD's survey results support that trend. 66% of respondents state they have at least a modest stockpile of corporate cash saved. Of those accumulating reserves, over a quarter (26%) report they are prepared to spend from those funds in 2013. Adding to the optimism regarding cash availability, over the next year 71% of CFOs expect sales to increase, with only 15% expecting a decrease in sales. While those expecting a drop in sales increased by six percentage points from last year's survey, 13% don't expect a change.